Communications is new firm in rapidly growing industry

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Reference no: EM131551406

Combined communications is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 5% a year for the next 4 years and then descreasing the growth rate to 3.5% per year. The company jsut paid its annual dividend in the amound of $1.20 per share. What is the current value of one share of this stock if the required rate of return is 5.5%?

Reference no: EM131551406

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